# Can you appeal if your SBA loan is denied?

**Short answer:** You can request reconsideration within 6 months of an SBA denial by showing you overcame every reason for it. After 6 months, a new application is required. A second and final request goes to SBA's Office of Financial Assistance. Source: 13 CFR 120.193.

Canonical page: https://www.sbaexpress.loans/answers/can-you-appeal-an-sba-loan-denial/
Last checked: 2026-11-09

Yes, through reconsideration. 13 CFR 120.193 lets an applicant request it within 6 months of denial. To prevail, you must show you have overcome all legitimate reasons for the denial. After 6 months, a new application is required.

## You get the reasons

Notice of denial must include the reasons (13 CFR 120.192).

## How it works on a non-delegated 7(a) loan

SOP 50 10 8.1, Appendix 20, Para. A (about p. 418) sets the steps:

- The lender files the request with the Loan Guaranty Processing Center, with a detailed written explanation.
- A request made more than 120 days after the decline must include current financial statements.
- If the center declines again, a second request can go to the Director, Office of Financial Assistance, or a designee. That decision is final.

## 504 loans

The Certified Development Company (CDC) files with the Sacramento Loan Processing Center within 6 months of the decline. After two declines there, a third request can go to that Director or a designee (Sec. C, Ch. 1, Para. F.4, about p. 264).

## Other routes

A denial based on size is appealed under 13 CFR Part 121 (13 CFR 120.193). The SBA Administrator may choose to review a matter, but that creates no added right of appeal.

## If a lender turned you down

The SOP describes reconsideration for SBA's declines of non-delegated applications. It does not describe an SBA appeal from a lender's own credit decision. Ask the lender for its reasons, and check whether another lender's policy fits.

## Sources

- [13 CFR § 120.192](https://www.ecfr.gov/current/title-13/section-120.192)
- [13 CFR § 120.193](https://www.ecfr.gov/current/title-13/section-120.193)
- [SOP 50 10 8.1, Appendix 20, Para. A, Reconsideration of Declined non-delegated 7(a) Loan Applications (about p. 418)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)
- [SOP 50 10 8.1, Sec. C, Ch. 1, Para. F.4 (about p. 264)](https://legacy.sba.gov/sites/default/files/2026-10/SOP%2050%2010%208.1%20Technical%20Policy%20Updates%20effective%20%2010.1.2026.docx)